The PSR offers advice to clients interested in participating in electric markets, presenting an overview of the energy market in question, with assessments of the regulatory environment, physical and commercial activities of generation, transmission, distribution and marketing of energy. We offer continuous monitoring and specific analysis to agents already in the market, identifying and analyzing new regulations, discussions and perspectives on the evolution of the market.

The PSR is also prepared to act in disputes involving issues in the electricity sector. Our services include reading and analysis of documents produced in the context of the dispute, preparation of technical opinions based on regulatory and quantitative analysis, advice to customers and their representatives on regulatory and technical issues, and participation in the sessions of arbitration proceedings, among others.

PSR has extensive experience in integrated planning studies for the expansion of electrical and natural gas systems – at regional, national or multi-country levels. These studies include planning the expansion of the generating complex, evaluating the interconnection between regions or countries, and expanding electricity transmission and natural gas transport networks. The main clients for this type of study are government agencies and multilateral institutions, such as the World Bank and the Inter-American Development Bank.

Some projects in this area include: studies for the interconnection of the six Central American countries that make up SIEPAC; integration of ten countries in the Balkan region; a study of expansion of generation in the electrical system of Nepal; the expansion of generation and transmission of the Brazilian Electrical System; integrated planning of the electricity (generation and transmission) and natural gas segments in Colombia; in addition to planning studies for the entire energy sector in countries such as Peru and El Salvador.

PSR provides studies for projecting electricity prices in several countries, for short-, medium- and long-term horizons. This product consists of evaluating the following: prospects for the supply and costs of electricity, in order to project the changing prices of energy that is traded on the short-term market; contracts signed on the free market; and the supply tariff on the regulated market. Projections are carried out using internal databases and a chain of models developed by PSR, which simulate in detail the existing operating procedures in the system, in addition to commercial rules and market dynamics.

PSR also offers projection studies of the Tariff for the Use of the Transmission System (TUST) for generators and consumers, carried out given the regulatory discussions and projected evolution for the electrical system. The applications of these studies include support in asset due diligence processes, assessment of impacts of regulatory changes and decision-making on connection to the system.

The global energy sector is in constant transformation. The dynamism of energy markets, in the physical, commercial and regulatory spheres, imposes on agents the constant need to plan and adapt to new realities.

In this context, PSR offers studies aimed at the strategic planning of companies in the electricity and natural gas segments in several countries. The main objective is to analyze the current configuration and future perspectives of energy markets, helping companies to position themselves in order to better exploit opportunities and support growth..

Among the various activities developed are: analysis of global and local trends relevant to the energy sector; evaluation of the company in question and identification of its competitive advantages; identification of opportunities and threats to the company’s growth; evaluation of possible synergies between the different activities of the client’s performance; and analysis of other potential implications for the company’s business model.

PSR performs pre-feasibility studies for connection to the transmission grid for generators and consumers to support their decision-making process for connecting to the system. The studies include a broad evaluation of the connection margin, projection of the Tariff for the Use of the Transmission System (TUST) and evaluation of investment costs in exclusive use systems through the optimal layout of transmission lines in view of environmental restrictions. Additionally, through this product, PSR provides analyses of regulations associated with the connection of new agents to the network and economic evaluations related to the process.

The high penetration of non-conventional renewable resources in electrical systems has added important operational complexities that directly impact the operations of generating centers. Power/energy injection restrictions in the transmission network can result in generation outages, also known as renewable spillage or curtailment.

Renewable spill projection requires a detailed operating simulation of the electrical system, since generation cuts depend on the combination of multiple factors, such as the availability of the primary resource, demand, generation from other plants and system flexibility. PSR has carried out several projects of this type with the aim of projecting the operational and commercial implications of curtailment to generation projects, helping developers to make investment decisions.

PSR provides support for obtaining environmental licenses, supporting the execution of Environmental Impact Studies (EIS) and environmental diligence studies, including assessment of risks to the corporate image of the developer company, analysis of the budget and deadlines for environmental programs foreseen in the projects, as well as socio-environmental assessments according to criteria of the Equator Principles adopted by several international financial institutions.

Energy efficiency is a topic that is becoming increasingly relevant as consumers seek to reduce their use of electricity. This shift simultaneously provides financial savings and reduces negative environmental impacts.

In this context, PSR has supported its clients in several lines of action, ranging from the articulation and management of energy efficiency networks between companies, to the assessment of the impacts of measures of this type on greenhouse gas emissions. PSR also provides studies related to the design of business models for the provision of energy conservation services and to the formulation of financing strategies for the implementation of energy efficiency measures, in addition to quantitative studies for projecting energy prices to assess the viability of these projects.

In recent years, more and more countries and companies have set targets for reducing greenhouse gas emissions, in many cases in an attempt to reach net zero emissions (net-zero) by 2050. To achieve this goal, strategies will have to be devised to optimize the allocation of investments, causing structural changes in activities of greater carbon intensity. In this context, PSR advises on the elaboration of well-informed and ambitious – but realistic – energy transition strategies.

Among the fields of activity of this area are: (i) structuring of plans to reduce emissions in all sectors of energy demand, such as transportation and industry; (ii) projection of electrical demand via electrification of industry and transportation; (iii) projected demand for green hydrogen; and (iv) conducting energy planning studies for different decarbonization scenarios.

Some recent studies involve: (i) a report on the decarbonization of the Brazilian energy sector (transportation, industry, electricity and buildings) for the E+ Transição Energética Institute (Energy Transition Institute); (ii) a study for the World Bank involving the creation of expansion scenarios for the Brazilian electrical system, considering the impact of climate change on flows and additional demand with electrification of the economy and the production of green hydrogen; and (iii) a project for the CEBDS with the objective of elaborating a realistic vision of the opportunities for the Brazilian business community arising from the transition to zero net emissions by 2050.

To carry out the energy transition, large investments in all links of the energy sector value chain will be required for the deployment of new or existing technologies capable of increasing the share of low-carbon energy resources. PSR’s performance in this area has been very broad, including market designs that allow the valuation of attributes of new technologies, economic analyses from the investor’s point of view and technical analyses of the benefits of new technologies in energy systems.

In this context, PSR has experience in projects, including Research and Development (R&D), related to topics such as:

• Intermittent renewable sources such as solar and wind (onshore and offshore);
• Distributed energy resources, including distributed generation; distributed storage; demand response; microgrids and virtual power plants; and electric vehicles and charging structures;
• Hydrogen and its derivatives;
• Energy storage systems, including batteries and pumped storage hydropower plants;
• Traditional and advanced biofuels;
• Offshore gs-to-wire with carbon capture and storage (CCS).

The growing search for sustainable products, motivated by the global decarbonization process, should encourage the market towards obtaining clean energy certificates. These allow proof of the low carbon intensity of the products used and the correct pricing based on market segmentation according to environmental attributes.

In this area, PSR has been working on:

• Analysis of the international market for clean energy certificates, focusing on electric power. hydrogen, ammonia and sustainable aviation fuels (SAF);
• Evaluation of the impact of certification systems on the clean energy market in Brazil;
• Studies on the adequacy of Brazilian projects on hydrogen and SAF certification systems;
• Structuring of business models for providing services in the Renewable Energy Certificate market;